Benign Budget Neither Good Nor Bad For Motorists

date-icon 15 Oct 2013  author-icon Posted by Miriam O'Neill


The Budget measures announced today were neither good nor bad for motorists, according to the AA. There was relief that fuel taxes were not increased but there were no positive steps taken to ease the burden on Ireland’s drivers.

“It was a strange budget.” Says Director of Consumer Affairs Conor Faughnan. “We were all ready to hear some new measures when all of a sudden nothing happened.”

See Conor’s reaction on video here: Conor Faughnan Budget 2014

“We are pleased that our arguments on fuel taxes were listened to and that while things did not get better at least they did not get any worse. We had warned that there have been five separate increases in both petrol and diesel since the emergency budget of October 2008 which between them have added 23 cent to the retail price of both fuels. This continues to hurt businesses and ordinary families. There really was no scope for further increases.”

The AA also welcomes the announcement of new measures to tackle fuel laundering and fuel smuggling. The measures will hold suppliers of marked agricultural diesel liable, and will revoke their licences, if they knowingly supply marked diesel to persons who have no legitimate use for it.

“The measure is modest but welcome.” Says Faughnan. “Fuel laundering is a deplorable organised crime racket that is perpetrated by some of the worst people on the island. It costs the state upwards of €150 million annually and does untold environmental damage. It is important to treat this as a priority.”

Motorists can also be pleased that the rate of Motor Tax did not increase this year following large increases in the last budget.
“Motor tax is still levied unfairly on owners of older cars.” Says Faughnan. “It still needs to be reformed.”

ENDS

Note: AA Fuel Usage figures: If a car does 12,000 miles per year (19,200 kms) at a fuel consumption rate of 30 miles per gallon (9.42 litres per 100 kms) that car will use 150 litres of fuel per month. At current prices that motorist will pay this €235.50 month for petrol of which €135.10 is tax.

For diesel, a similar car will pay €225.0 per month of which €130.05 is tax.

Written by Miriam O'Neill
Miriam O’ Neill, PR Exec at AA Ireland began working in the AA in August 2010. Miriam’s core activities on a day to day basis include management of the AA’s media relations programme, generation of quality coverage in support of key business lines, provision of content for AA social media channels and the AA customer Ezine, regular broadcast interviews, occasional events management and interactions with the large AA customer base on motor policy issues.